Philadelphia Railroads and Industrialization
It is a well held belief that railroads helped in industrialization of Philadelphia. There were several industries that were impacted by development of railroads, for instance, Iron and Steel, Textiles, and Shoemaking. In this paper I explore the industries that were impacted as a result of industrialization. Some industries observed trends of downward mobility and depending on the size of the firm there were some industries in which there was a drop in the number of people employed and also a possible decrease in the wages of the workers. In this paper I argue that even though industrialization benefited the economy, it is not true that the lives of the people became better. At that time it led to social conflicts of people from industries that were negatively affected. The two periods that I take for comparison in my thesis are 1850 and 1880.

Background on Railroads
One of the earliest modes of transportation was the canal system. The canals had proven to be successful and were in place. Hence the questions arises that why there was a need for railways. The reason being that transportation through canals required a large amount of time. For example, even after the completion of the Erie Canal, a week was needed from Detroit to New York and 13 days by streamers from New Orleans to New York. The long amount of time taken for the transportation can also be attributed to the tortuous routes. Another reason being that it was hard to transport during winter months as the water was frozen. Hence during the winter months the canals were rendered dysfunctional. Also they required a lot of costly repair work. Hence the need for railroads arose.
The early development of railroads was in the British era. The British were not interested in the growth of America rather in having a better political control and to be able to have a market for their goods. This held back the industrialization in Philadelphia until the very early 19th century.
Philadelphia was industrialized in the early 19th century yet there remained a scope for further expanse which was prevented by the “immobility of water power and the dominant weight losing character of coal”. Hence with the development of railroad there was also a development in industries like the coal, iron and steel.

Role of Railroads in Industrialization
The railroads helped in industrialization as they led to expansion of trade, opening of markets for both international markets and inter regional trade. One of the examples would be Philadelphia Eagle works (which was a Philadelphia business organization) which produced sugar kettles, sugar mill rollers, sugar mill pumps, soap boilers, cylinder for steam engine and other machinery parts. The Philadelphia Eagles helped in the development of Railroad and industrialization in two ways. Firstly because some of the goods that they produced had mass consumption utility hence having rail-roads in that area impacted the spread of its products to far lands. Also to be able to operate the machinery at that time water power was needed. It was an immovable raw material needed for the operation of the factory. Hence there was a need for the development of railroad.
Also another reason that helped railroads in favoring the industrialization of Philadelphia was that it was a cheaper method of transportation hence with its establishment cost was no more a concern for sending of goods. Hence it helped in creating markets for goods.

Impact on various industries and the lives of people
Till now I have discussed how the development of the railroads led to the industrialization of Philadelphia and the reason for preference of railroad over canal. Even though over all industrialization is considered to have had a positive impact on the economy I argue that the betterment of the economy in terms of wealth did not mean that there was a betterment of the people in general. For the people employed in the small, unskilled firms it led to a stress. There were abysmal working hours (having more than 10 hours long days and also frequent lay offs), for the majority of people employed in the small firms. This was the case for most of the “sweatshops” i.e. “meat, baking, clothing and shoe-making”4 (Pg 226). Table 1 below shows the median number of workers between the two census periods 1850 and 1880. Through Table 1 it can be concluded that for clothing, textiles, baking, meat and building construction industries there was a decline in the median number of people employed within the two census periods taken into consideration whereas for the iron and steel industry there was an a huge increase in the median number of people employed. The statistics prove the fact that the construction of railroads shaped as to which industries flourished and which declined.

1850

1880

Textiles
19.5
Iron & Steel
31.88
Iron & Steel
13
Printing
9.75
Clothing
9.69
Textiles
9.5
Printing
9.5
Hardware
6.92
Machines &Tools
6.08
Machines &Tools
6.86
Furniture
4.96
Clothing
6.06
Building Construction
4.92
Furniture
3.98
Hardware
4.71
Building Construction
3.39
Shoes
4.55
Metal
2.52
Harness
3.75
Shoes
2.14
Metal
2.73
Blacksmithing
1.92
Blacksmithing
2.65
Baking
1.61
Baking
2.05
Harness
1.46
Meat
1.41
Meat
1.39
Table 1: Median Number of Employees per Firm1
Textiles Industry
As a result of industrialization in Philadelphia in the early nineteenth century it seemed to the workers that factory work would promise steady wages and it will compensate for the “loss of artisan skills” but that was not the case as there were three big economic depressions in the period ranging from 1816 to 1857.
As can be seen from Table 1 above between the periods of 1850 and 1880 there was a decline in the median number of people employed in the textile industry. It went from 19.50 to 9.50. As can be seen from Table 2 below there was a percentage increase in the number of employees per firm, for firms employing 1-5 people it went from 1.8% to 2.4%, for firms employing 5-50 people it went from 20.2 to 39.6% but for the big firms (firms employing above 50 workers) there was a sharp decline from employing 78% of the textile workforce, it went down to 58%. These results thereby show that there was a loss of job of the craftsmen and artisans in this area due to mechanization. Also the industries that flourished like Iron and Steel employed only the semi-skilled and skilled labor thereby the unskilled labor of the earlier period of around 1850 was left behind.
The artisans and craftsmen suffered as they could not find employment in the skilled labor jobs and hence they had to face economic turmoil. This is proven by the fact that the artisans and craftsmen had their wives and children working in the industry which was unusual at that time because women were usually associated with household work. Also as a result of industrialization there were a lot of workers who had no jobs and hence were forced to beg and steal.

Coal, Iron and Steel Industries:
The building and operating of railroads required a large amount of coal, iron and steel. Hence during this period there was a rapid expanse in these industries. Also the presence of railroad helped in the further advancement of the coal, iron and steel industry. This was so because the presence of railroads helped in the transportation of coal iron and steel from regions which were rich in it.
Industry
Number of Employees Per Firm




1850


1880


1 to 5
6 to 50
50+
1 to 5
6 to 50
50+
Iron and Steel
1.7
34.1
64.2
0.7
16.9
82.4
Textiles
1.8
20.2
78
2.4
39.6
58
Table 2: Percentage of Workforce by Number of Employees Per Firm2
In terms of employment in the Iron and Steel Industry, as can be seen from Table 2 above for the large firms it increase from 64.2 % to 82.4%. Hence in the Iron and Steel Industry in terms of employment there was a huge increase.
In contrast to the textiles industry workers in the coal, iron and steel industry were better off. This is also demonstrated by the fact that the wives of these workers were usually responsible for household work and would work only in the direst circumstances.

Shoemaking Industry
As a result of industrialization there was a change in the occupational stratification and also there was a “clear dilution of skill, a probable drop in income and a decline in status as well”4. An example quoted by Laurie, Hershberg and Alter to clear the point is “If, for example, both the shoemaker who worked with his hands to fashion a pair of shoes in 1850 and the shoemaker who worked with the aid of a pegging machine to complete only part of the work required to make a pair of shoes in 1880 were classified in the same stratum (vertical category), no change would be recorded by the historian yet significant change occurred”
Winning and Losing End
The people who invested money in the canals and railways earned its benefits and were able to agglomerate their wealth but on the other hand people who were wage workers, living on the edge and were employed in the textile, cotton were the sufferers. Hence through the process of industrialization there was a worsening in the standard of life of the people in the lower strata of the economy. As a result of industrialization brought through railways there was social conflict and it resulted in creating the disparity in incomes.
Conclusion
Hence to conclude I would say that the railroads indeed proved to be the best method of transportation of goods and played a major role in the industrialization of the economy but they led to a serious social conflict and also to the economic inequality such that the rich became richer whereas the poor became poorer. Hence the industrialization brought by railroads had an overall beneficial effect on the economy but that cannot be said about the social impact brought about by it.
References:

Primary Sources:
1. United States Census Office, Census of the United States, Manufacturing Schedule, County of Philadelphia, 1850 and 1880 (Microfilm MSS, National Archives)
2. Sixth Census of the United States, 1840

Secondary Sources:
3. Annals, Allan Manufacturing in the American Mercantile City: 1800-1840
4. Laurie, B, Hershberg Theodore and Alter, G. Immigrants and Industry: The Philadelphia Experience 1850-1880

References:
5. Rubin, J. Imitation and Innovation in the Response to the Erie Canal in Philadelphia. Philadelphia: American Philosophical Society, 1961.

6. Hadley, A. Railroad Transportation: Its History and Its Laws

7. __USHistory.Org__. 25 Jan. 2009 <http://www.ushistory.org/Philadelphia/railroad.htm>.

"Philadelphia Story." PhilaNet.com. 25 Jan. 2009 <http://philanet.com/Philadelphia/railroads/>.